Question 1

Which of these statements regarding corporate chains is most accurate?

Accepted Answer

A)   Corporate chains cannot bargain with a manufacturer to obtain product volume discounts due to federal anticompetitive legislation-the Clayton Act as amended by the Sherman Act.
B)   Corporate chains generally own most if not all of their suppliers-a practice known as forward integration-so they can save distribution costs.
C)   Consumers have fewer choices in merchandise since all buying decisions are made by a decentralized buying committee.
D)   Corporate chains offer the least benefit to consumers since they are the farthest removed from the ultimate consumer.
E)   Corporate chains are multiple outlets under common ownership.F) A) and C)
G) A) and B)

Question 2

A unique broker that acts in many ways like a manufacturer's agent is a food broker, representing buyers and sellers in the grocery industry. Food brokers differ from conventional brokers because they act on behalf of producers on a permanent basis and

Accepted Answer

A)   receive a commission for their services.
B)   are paid a flat fee for each time the shelves are stocked.
C)   are paid by both the buyer and seller separately depending upon the size of the order.
D)   are paid a commission by the buyer and a bonus by the seller.
E)   are paid a flat fee by both the buyer and seller, but receive a bonus based upon the percentage of increased sales by quarter.F) C) and D)
G) C) and E)

Question 3

The marketing managers at Omaha Steaks used airlines' databases to mail a special offer to frequent flyers. Eight weeks after shipping the steaks to the frequent flyers who responded to the offer, the company's salespeople followed up by telephoning customers to ask for new orders. This is an example of which types of nonstore retailing?

Accepted Answer

A)   direct selling and telemarketing
B)   direct mail and telemarketing
C)   telemarketing and online retailing
D)   online retailing and direct mail
E)   direct mail and direct sellingF) C) and D)
G) B) and E)

Question 4

Stores that carry a considerable assortment (depth)  of a related line of items are referred to as

Accepted Answer

A)   limited-line stores.
B)   general merchandise stores.
C)   scrambled merchandise stores.
D)   hypermarkets.
E)   intertype outlets.F) C) and D)
G) All of the above

Question 5

Explain the difference between a markup, an original markup, and a maintained markup.

Accepted Answer

In setting prices for merchandise, retai...

Question 6

Jane Westerlund owns a small retail picture frame store in a local strip mall. She just bought 10 picture frames from a promising woodworker for $36 each. Based on market conditions, she will sell these for $100 each. What is her markup in dollar terms?

Accepted Answer

A)   $136
B)   $64
C)   $72
D)   $360
E)   $10F) A) and D)
G) All of the above

Question 7

Briefly describe the three levels of service offered by retail outlets.

Accepted Answer

Retail outlets generally offer three lev...

Question 8

Dick's Sporting Goods is a leading sports retailer that provides year-round inventory of equipment for just about any sport. Even during the off-season, equipment for seasonal sports is available at Dick's. Which utility does it best provide?

Accepted Answer

A)   time
B)   convenience
C)   possession
D)   form
E)   performanceF) B) and D)
G) B) and E)

Question 9

Intermediaries that represent a single producer and are responsible for the entire marketing function of that producer are referred to as

Accepted Answer

A)   brokers.
B)   line brokers.
C)   selling agents.
D)   distribution brokers.
E)   manufacturers' agents.F) A) and B)
G) A) and C)

Question 10

All of these are reasons direct-mail and catalog retailing are attractive except which?

Accepted Answer

A)   They can create customer value by providing a fast and convenient means of making a purchase.
B)   They can serve as an element of a multichannel strategy designed to encourage consumers to visit a website, a social media page, or even a store.
C)   Their paper costs and postal rates have declined, making them less expensive to send.
D)   They can eliminate the cost of a store and clerks.
E)   They can improve marketing efficiency through segmentation and targeting.F) C) and D)
G) A) and B)

Question 11

Data analytics benefits retailers by

Accepted Answer

A)   accurately predicting changes in the external environment.
B)   allowing merchants to provide personalized, real-time messaging and promotions.
C)   eliminating the need for wholesaling and the associated markups that raise prices.
D)   shortening the retail life cycle.
E)   improving sales per square foot or same-store sales growth by providing access to alternate channels.F) A) and E)
G) A) and B)

Question 12

Research indicates that the timing of ________ might affect future sales because frequent promotions increase consumers' ability to remember regular prices.

Accepted Answer

A)   seasonal markdowns
B)   original markups
C)   future markups
D)   maintained markups
E)   markdownsF) B) and D)
G) B) and C)

Question 13

The battle for market share is usually fought directly before the ________ stage, and some competitors drop out of the market.

Accepted Answer

A)   decline
B)   growth
C)   maturity
D)   harvest
E)   introduction phaseF) B) and C)
G) A) and E)

Question 14

Independent retailers account for most of the ________ retail establishments in the United States.

Accepted Answer

A)   50,000
B)   90,000
C)   900,000
D)   1.8 million
E)   3.8 millionF) A) and C)
G) B) and D)

Question 15

Nordstrom stores typically have 50 percent more salespeople on the floor than other retailers with stores of similar sizes. Its salespeople are renowned for their professional and personalized attention to customers. Nordstrom offers a wide variety of services, including on-site alterations and tailoring, a seven-days-a-week customer service line, live chat line with beauty, design, and wedding specialists and would be considered

Accepted Answer

A)   an exclusive-service retailer.
B)   a limited-service retailer.
C)   a full-service retailer.
D)   an above-market service retailer.
E)   a preferred-service retailer.F) A) and B)
G) B) and D)

Question 16

Retailers such as Williams-Sonoma that sell products through retail stores, catalogs, and online are examples of

Accepted Answer

A)   intertype competitors.
B)   multichannel retailers.
C)   vertically integrated retailers.
D)   scrambled merchandisers.
E)   dual distributors.F) A) and B)
G) C) and E)

Question 17

Most stores today are near several others in one of five settings that include all of these except which?

Accepted Answer

A)   the regional shopping center
B)   the strip mall
C)   the old-town district
D)   the central business district
E)   the power centerF) B) and C)
G) C) and D)

Question 18

Figure 16-8
-Which of these retailers would best fit in quadrant B shown in the retail positioning matrix, Figure 16-8 above?

Accepted Answer

A)   H&M clothing store
B)   Bloomingdale's department store
C)   7-Eleven convenience store
D)   DSW shoe store
E)   Lamborghini automobile dealerF) A) and B)
G) All of the above

Question 19

Depth of product line refers to

Accepted Answer

A)   the percentage of goods stored as inventory.
B)   the variety of different product items a store carries.
C)   variations in price and color on specific items in a store.
D)   the assortment of each item carried by a store.
E)   the number of different product classes owned by a corporate chain.F) All of the above
G) C) and D)

Question 20

Figure 16-9
-According to Figure 16-9 above, Box A represents the stage in the wheel of retailing when a retail outlet starts with

Accepted Answer

A)   low prices, high margins, and high status.
B)   mixed prices, mixed margins, and mixed status.
C)   low prices, low margins, and low status.
D)   moderate prices, high margins, and high status.
E)   high prices, low margins, and mixed status.F) C) and D)
G) A) and B)

Exam 16: Retailing and Wholesaling

Research indicates that the timing of ________ might affect future sales because frequent promotions increase consumers' ability to remember regular prices.

Correct Answer
verified

Jane Westerlund owns a small retail picture frame store in a local strip mall. She just bought 10 picture frames from a promising woodworker for $36 each. Based on market conditions, she will sell these for $100 each. What is her markup in dollar terms?

Correct Answer
verified

Correct Answer
verified

Stores that carry a considerable assortment (depth) of a related line of items are referred to as

Correct Answer
verified

Data analytics benefits retailers by

Correct Answer
verified

Retailers such as Williams-Sonoma that sell products through retail stores, catalogs, and online are examples of

Correct Answer
verified

Explain the difference between a markup, an original markup, and a maintained markup.

Correct Answer
verified
In setting prices for merchandise, retai...
View Answer

Dick's Sporting Goods is a leading sports retailer that provides year-round inventory of equipment for just about any sport. Even during the off-season, equipment for seasonal sports is available at Dick's. Which utility does it best provide?

Correct Answer
verified

Figure 16-9 -According to Figure 16-9 above, Box A represents the stage in the wheel of retailing when a retail outlet starts with

Correct Answer
verified

All of these are reasons direct-mail and catalog retailing are attractive except which?

Correct Answer
verified

Intermediaries that represent a single producer and are responsible for the entire marketing function of that producer are referred to as

Correct Answer
verified

Independent retailers account for most of the ________ retail establishments in the United States.

Correct Answer
verified

A unique broker that acts in many ways like a manufacturer's agent is a food broker, representing buyers and sellers in the grocery industry. Food brokers differ from conventional brokers because they act on behalf of producers on a permanent basis and

Correct Answer
verified

Briefly describe the three levels of service offered by retail outlets.

Correct Answer
verified
Retail outlets generally offer three lev...
View Answer

The battle for market share is usually fought directly before the ________ stage, and some competitors drop out of the market.

Correct Answer
verified

Correct Answer
verified

Most stores today are near several others in one of five settings that include all of these except which?

Correct Answer
verified

Figure 16-8 -Which of these retailers would best fit in quadrant B shown in the retail positioning matrix, Figure 16-8 above?

Correct Answer
verified

Depth of product line refers to

Correct Answer
verified

Which of these statements regarding corporate chains is most accurate?

Correct Answer
verified

Exam 16: Retailing and Wholesaling

Research indicates that the timing of ________ might affect future sales because frequent promotions increase consumers' ability to remember regular prices.

Correct AnswerverifiedShow Answer

Jane Westerlund owns a small retail picture frame store in a local strip mall. She just bought 10 picture frames from a promising woodworker for $36 each. Based on market conditions, she will sell these for $100 each. What is her markup in dollar terms?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Stores that carry a considerable assortment (depth) of a related line of items are referred to as

Correct AnswerverifiedShow Answer

Data analytics benefits retailers by

Correct AnswerverifiedShow Answer

Retailers such as Williams-Sonoma that sell products through retail stores, catalogs, and online are examples of

Correct AnswerverifiedShow Answer

Explain the difference between a markup, an original markup, and a maintained markup.

Correct AnswerverifiedIn setting prices for merchandise, retai...View AnswerShow Answer

Dick's Sporting Goods is a leading sports retailer that provides year-round inventory of equipment for just about any sport. Even during the off-season, equipment for seasonal sports is available at Dick's. Which utility does it best provide?

Correct AnswerverifiedShow Answer

Figure 16-9 -According to Figure 16-9 above, Box A represents the stage in the wheel of retailing when a retail outlet starts with

Correct AnswerverifiedShow Answer

All of these are reasons direct-mail and catalog retailing are attractive except which?

Correct AnswerverifiedShow Answer

Intermediaries that represent a single producer and are responsible for the entire marketing function of that producer are referred to as

Correct AnswerverifiedShow Answer

Independent retailers account for most of the ________ retail establishments in the United States.

Correct AnswerverifiedShow Answer

A unique broker that acts in many ways like a manufacturer's agent is a food broker, representing buyers and sellers in the grocery industry. Food brokers differ from conventional brokers because they act on behalf of producers on a permanent basis and

Correct AnswerverifiedShow Answer

Briefly describe the three levels of service offered by retail outlets.

Correct AnswerverifiedRetail outlets generally offer three lev...View AnswerShow Answer

The battle for market share is usually fought directly before the ________ stage, and some competitors drop out of the market.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Most stores today are near several others in one of five settings that include all of these except which?

Correct AnswerverifiedShow Answer

Figure 16-8 -Which of these retailers would best fit in quadrant B shown in the retail positioning matrix, Figure 16-8 above?

Correct AnswerverifiedShow Answer

Depth of product line refers to

Correct AnswerverifiedShow Answer

Which of these statements regarding corporate chains is most accurate?

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
verified
In setting prices for merchandise, retai...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
verified
Retail outlets generally offer three lev...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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